Pasadena, USA - One of California's most liberal churches could lose its tax-exempt status because of a former rector's anti-war sermon two days before the 2004 presidential election.
In his sermon, the Reverend George Regas did not urge parishioners at All Saints Episcopal Church in Pasadena to support a candidate. But he was sharply critical of the Iraq war and President Bush's tax cuts.
The Internal Revenue Service says Regas' sermon placed the church's tax-exempt status in jeopardy. The federal tax code prohibits charitable groups from intervening in political campaigns and elections.
Some All Saints members say they fear the politically active church is being singled out.
The church's tax attorney says he knows of two other churches that were critical of government policies that received similar warnings from the I-R-S.
He said the I-R-S recently offered to drop the proceedings if the church admitted wrongdoing. The church declined the offer.